Job switchers can make more, but be wary of referrals

For job switchers, a move with a referral could make a substantial difference in their pay... depending on who refers them and their relationship to the referrer. (Image: Shutterstock)

People who switch jobs make more—especially in certain sectors—than those who stay with an employer, says a new study, although it depends on whether they’re full time or part time. In addition, workers who get hired via employee referrals could end up with the short end of the stick paywise, depending on their relationship to the employee who referred them.

An ADP study finds that while job holders—those who stay in a single job for at least a year—saw their wages grow by 4.3 percent year over year in the fourth quarter, job switchers—those who changed jobs during that year—only saw a 3.3 percent increase YOY in Q4. On average, job holders made an average of $10 more in hourly levels than job switchers. But when considering only full-time workers, the switchers made out better than the holders, with a gain of 4.9 percent compared with holders’ 4.3 percent.